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4 Ways to Beat Defense Electronics Supply Challenges

The electronics supply chain — for both civilian and military applications — has faced numerous difficulties over the last several years. They collectively resulted in issues such as order delays and problems getting components from a manufacturer’s usual suppliers. However, the supply chain challenges for the defense sector are even more worrisome because they cause national security risks. People involved in sourcing or supplying electronics for the military must take decisive action to mitigate adverse effects.

Source: 4 Ways to Beat Defense Electronics Supply Challenges

Distribution Outlook for 2023

Challenges remain and the pace of growth may ease, but the2023 Distributors Outlook is decidedly bullish.After three years of challenging, dramatic growth in the distribution arena, key industry executives see a time of leveling off on the near horizon. That won’t mean a decrease in investments, particularly in the digital assets that helped manage the growth and stabilized the pandemic-fueled activity of the recent past.

Distributing Your Component Availability Needs in the Growing World of Obsolescence

Obsolete electronic components are an issue many companies think about very little – until they have to think about them a lot. In the world of electronic components, IHS Markit reports that the average life cycle of integrated circuits has decreased by about 30 percent over the past two decades. Organizations that partner with a reputable and reliable distributor of fully authorized electronic parts can draw from its vast resources, capture a real-time inventory assessment of their current capabilities and proactively plan for the future to make obsolescence issues obsolete.

Source: Distributing Your Component Availability Needs in the Growing World of Obsolescence | TTI, Inc.

Arrow Electronics Reports Third-Quarter 2022 Results

CENTENNIAL, Colo.–(BUSINESS WIRE)– Arrow Electronics, Inc. (NYSE:ARW) today reported third-quarter 2022 sales of $9.27 billion, an increase of 9 percent year over year, and an increase of 14 percent year over year on a constant currency basis1. Third-quarter net income was $342 million, or $5.27 per share on a diluted basis, compared with net income of $290 million, or $4.00 per share on a diluted basis, in the third quarter of 2021. Non-GAAP net income1 was $354 million, or $5.45 per share on a diluted basis, in the third quarter of 2022, compared with non-GAAP net income of $293 million, or $4.04 per share on a diluted basis, in the third quarter of 2021. In the third quarter of 2022, changes in foreign currencies reduced growth by approximately $380 million on sales and $0.17 on earnings per share on a diluted basis compared to the third quarter of 2021.

Source: Arrow Electronics Reports Third-Quarter 2022 Results | Arrow Five Years Out

2022 Top Asia Pacific Distributors List 

2022 Top Asia Pacific Distributors List

Source: 2022 Top Asia Pacific Distributors List | Source Today

From Lean to Agile: Learning from the Electronic Supply Chain Veterans 

As many industries, including automotive and consumer electronics, move toward product interconnectivity—which increasingly requires a significant number of semiconductors—companies are being forced to rethink their supply chains to adapt to a constantly evolving market. Consumer-appliance OEMs, for example, are experts at making washing machines, refrigerators and ovens; however, integrating semiconductors for connectivity introduces an entirely new challenge. Those that are used to working closely with the semiconductor supply chain, such as in the fast-paced world of smartphones, understand the need to be agile. These companies are able to adjust quickly in the face of unexpected disruptions and often keep chip availability top of mind when designing products, which has given them a distinct advantage in the ongoing chip shortage. The good news for less agile companies is that there are still opportunities to learn and thrive in this sphere.

Source: From Lean to Agile: Learning from the Electronic Supply Chain Veterans | Source Today

APAC Distribution Trends 

Made up of the countries that are situated in and around the western portion of the Pacific Ocean, the Asia-Pacific or “APAC” region is home to a number of electronics distributors that serve a worldwide customer base from their strategically-situated facilities. As a rule, most countries located throughout eastern and southern Asia—particularly those that touch the Pacific Ocean—and Oceania are usually considered APAC countries. However, the actual list of APAC countries can vary depending upon the context. For the most part, however,

Source: APAC Distribution Trends | Source Today

DMASS: European Disti Market Records 28.5% Q2 Increase

European semiconductor distribution sales grew by 33.4% to 3.09 Billion Euro reports DMASS*.

IP&E (Interconnect, Passive and Electromechanical) components grew by 19.6% to 1.51 Billion Euro.

In total, the components distribution market grew by 28.5% to 4.60 Billion Euro.

Allocation and shortage continue to have an impact make their mark on the European component distribution business, but partial relief is now being seen in some product areas.

Source: DMASS: European Disti Market Records 28.5% Q2 Increase

How Automation Increases Warehouse Picking Efficiency

Business leaders are increasingly interested in applying order-picking automation to warehouses. An increase in online shopping, customers’ desire for faster delivery, two years of logistics woes and a global labor shortage have spurred warehouse managers to explore automation to expand their businesses. Here are some compelling ways that automation can make order picking easier and faster.

Most companies pursue growth at multiple points of their evolution. However, there often comes a time when hiring more people is no longer feasible. That can support growth, but it usually can’t help companies meet all their goals. However, warehouse picking efficiency can allow a company to make significant gains.

Source: How Automation Increases Warehouse Picking Efficiency

Arrow Q2 Sales Increase by 10%

Arrow Electronics, Inc. (NYSE:ARW) today reported second-quarter 2022 sales of $9.46 billion, an increase of 10 percent from sales of $8.56 billion in the second quarter of 2021. Second-quarter net income was $370 million, or $5.54 per share on a diluted basis, compared with net income of $241 million, or $3.23 per share on a diluted basis, in the second quarter of 2021.

Source: Arrow Q2 Sales Increase by 10%

Leading the way in tough anti-counterfeiting measures

Threats of counterfeit components entering the supply chain is a growing concern as demand increases and fake parts are harder to detect. This, combined with the current product shortages, means it’s more important than ever to buy from an authorized distributor. 

Mouser Electronics’ customers can order with confidence, knowing that the global authorized distributor has rigorous processes in place to prevent counterfeit products entering its inventory. Customers can expect 100 per cent certified, genuine products, fully traceable to each manufacturer.

Source: Leading the way in tough anti-counterfeiting measures | Latest Articles News

Distribution boosted by rising OEM design and supply chain services 

Electronic component distributors have hit the sweet spot of their market. In addition to surging demand for semiconductors, passives, interconnects and electromechanical parts, OEMs are asking distributors to support them with more value-added services, including design engineering, supplier management, inventory management and scarce component procurement functions.

Source: Distribution boosted by rising OEM design and supply chain services | Latest Articles News